i read too few scholarly publications wrt investments, but this one caught my attention. http://www.bis.org/publ/work656.htm
- I am not sure that i fully agree (or understand) the authors’ conclusions. with that said, however, there are some very interesting points
- the demographic bubble of boomers will have an impact … but perhaps not what most are thinking
- stop looking at the interest rate dynamic with a domestic lens … must be global
- India is the next long-term labor source (ala China and Eastern Europe)
- Policy recommendations focus on moving from debt to equity across the spectrum – governments, corporates and individuals
This transition will be extremely challenging as the authors point out … and retired boomers like me are going to make it harder as we demand social safety nets, above inflation return on low risk investments, and an increasing quality of life as we live longer than generation to date.